Starace Puts Focus on Innovation and New Markets in Cernobbio

Published on Thursday, 11 September 2014

'We're working to simplify the Group's organisational structure, sharpening the focus on managerial needs and approaches in different markets,' said Enel CEO Francesco Starace during the annual Ambrosetti workshop, which took place at Villa d'Este in Cernobbio, on the shore of Lake Como. 'We will continue to dedicate resources to economic growth in Italy, Latin and North America and now in Africa.

'For the Enel Group, North America and Mexico are markets in which we could develop traditional generation alongside existing renewable energy activities. We are also looking into regulatory issues and market models within these two hugely important countries and others, as well as assessing potential investments in thermal power and distribution, both areas in which Enel has a universally recognised expertise.'

The skills developed in Italy regarding digitalisation of the network and the management of combined cycle power stations give Enel 'a potential competitive advantage that will enable it to enter these markets with certain levels of expectation for success'. In particular, 'digitalisation will be fundamental for the development of smart grids, which enable both the integration of intermittent renewable energy sources into the network and distributed generation'.

Starace explained that the Italian energy market is 'very advanced', which will help it become 'an important laboratory for innovation in technology. These means there is a need for big investments, but it also means that Enel and others in the Italian energy industry will be able to export their best practices to the areas of high growth which we are pointing towards'.

The CEO believes that this plan of added investment can be carried out without any financial problems and is compatible with current market commitments.

For Endesa meanwhile, decisions regarding the reorganisation of shareholdings will be made within 30 days, with Starace saying that the Iberian colossus is a 'huge business able of making the most of the recovery of the Spanish market' in the light of the fact that the market 'is showing signs of life and is becoming increasingly attractive for investors'.